We recently helped a young couple (we will name them John and Kate for the sake of this blog) who wanted to get some money out of their home loan to pay for their upcoming wedding. They had gone to their bank, who their home loan was with, and upon applying for a top up on their home loan to be able to create their dream wedding ….they were declined.
They were surprised, to say the least, and had thought they would be able to get an increase on their home loan without any problem at all. This left them feeling confused about their options. They also did not understand why their bank would not help them. They were frustrated and it all seemed too hard. Luckily, a lady who owned a property management business had told them about our services, and they got in contact with us.
Wedding plans became even more important!
We looked at the possibility of refinancing John and Kate’s home loan, as we have access to a large range of lenders. In the middle of having a look at their requirements, the couple received some very bad news in terms of a close family member’s health. It became clear that having their wedding sooner rather than later was a high priority.
Not only did we help them out with a successful application, but we were also able to be sensitive and take care of everything during a very stressful time. John and Kate got the money that they needed for their wedding, and we also got them a good interest rate. The wedding money would end up costing less than a cup of coffee each week!
I know right?!… What a great way to pay for your wedding! This is what we do, and we love it. Who wouldn’t? We love helping our clients cultivate their dreams! We especially love being there with a caring and professional manner at times when it really counts.
So what was the recently engaged couple’s situation?
John was a self-employed tradie. Kate had worked in 2 different jobs over the past couple of years, with one being a casual teacher, and the other job as a self employed fitness trainer. They had owned their home for three years, and they knew the value of their property had increased quite a bit. They both felt like they worked hard and earned good money, and they were right. They were frustrated to find that their existing bank did not agree, as they did not ‘tick the boxes’ for the required times and structures of their income for their current bank.
A further problem became apparent. John started to make use of his tradie skills by starting some renovations on their home. This did further improve the value of their property, which was great, BUT he had expected to finish the work quickly. However, the family emergency, as described above, had put an indefinite halt to the renovations he had begun. They also could not get their house suitably valued, which was upsetting, in order to get an increase in their lending against the true value of it. No one could have predicted the timing of their situation.
So how did we help?
Initially, we just had a meeting with the young couple to get a broad understanding of their situation. A few things came out at this point, such as:
- They figured they had plenty of value/equity in their house (once the work was complete).
- The combination of different jobs for Kate was a bit tricky to show.
Having an initial look at their documents, we went straight to work to find a suitable lender that would accept all of their income. They needed this in order to get the money that they wanted to make their dream wedding become a reality.
We then provided them with a list of the information they would need to get together for their loan refinance. Quite a bit was needed to ensure we could use her income for a lender that we found suitable that would acknowledge it all. It did take some effort on their behalf and luckily we had got most things that were needed before they had family priorities take over.
Then we got to work with what we do best. We carry out a lot of research and checks to ensure that we had a suitable lending outcome for them. We were also able to get a valuation while the house renovations were not completed, with enough value in order to get the extra cash that they needed.
John and Kate got the news that shone some light on their situation.
Success!! They ticked all the boxes for a lender who had competitive rates and who had confirmed they would use her full income prior to applying. This lender offered fairly good rates, but then also had the flexibility to change their loan to one of the most competitive products in the market after 12 months. This option was available without the couple having to do anything other than pay their home loan on time.
The stressful situation they were in, had a wonderful moment of good news from us. Finally, they knew that their dream wedding could go ahead, without any further worry. The young couple were so relieved to find out that they’d been fully approved for re-financing and getting the money they needed for their dream wedding. All this while costing them only $18 per month for the first year!!
After 12 months, when we changed their loan to the optimal product, they were on track to save $95 per month, so their interest savings would quickly pay for their wedding. Also, this particular lender had a free offset account, so they could keep their wedding money in there, allowing them to use it in their own time, while saving on interest charges until then.
John and Kate were relieved to know that their wedding plans were in order, and there was no pressure to finish their renovations at this time. They didn’t have to worry about how to pay for their wedding, or to have to consider a very high interest loan. They will be able to really enjoy their wedding knowing it is costing less than a cup of coffee each week. Their focus could now remain with their family members, without adding financial concerns onto their shoulders. Kate could also ponder guilt free wedding plans, knowing it was soon to become a reality.
Where are John and Kate at now?
Well, we haven’t heard much about the wedding plans as yet, and we know this is because they are currently spending quality time with their family. Real life means that sometimes unexpected health emergencies can rock your world. We are so glad to have been able to take care of this part of the young couples needs. We will look forward to the wedding photos, knowing their day will be a significantly special family celebration.
Have you got a dream?
Have you got a dream that we can help you with? Whether you want to save money on your current mortgage, consolidate debts, access extra cash or get your first home loan, we can help.